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Is This Putin's Way Of Forcing Domestic Purchases?  
User currently offlineromeokc10fe From United States of America, joined Jul 2004, 219 posts, RR: 0
Posted (3 years 4 months 3 weeks 3 days 17 hours ago) and read 2387 times:

I remember reading an article this summer about how Putin wants all Russian airlines to consider buying Russian built airliners first. I guess this is one way of forcing their hands on the issue, I hope they don't drive some of the little guys out of business.

http://www.flightglobal.com/articles...-layout-as-russian-taxes-bite.html

1 replies: All unread, jump to last
 
User currently offlineacidradio From United States of America, joined Mar 2001, 1867 posts, RR: 10
Reply 1, posted (3 years 4 months 3 weeks 3 days 15 hours ago) and read 2131 times:
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The article states that aircraft imported to Russia in a dual-class configuration avoid all the extra tariffs/duties. What if these carriers purchased the aircraft from the manufacturer in a dual-class configuration then after taking delivery in Russia had the F-cabin removed and replaced with Y-class seats? There has to be a loophole here... Would this work under Russian laws?

Ford does something like this when they export the Transit Connect (a/k/a Tourneo Connect in other parts of the world) to the US from Turkey. Because of the 1963 "Chicken Tax" (look this one up in Wikipedia if you don't believe me   ) tariffs on imported cars to the US are fairly low but tariffs on imported trucks are 25%. The vehicle, for all intents and purposes a truck, is assembled in Turkey with windows all around. This makes it a car under US rules. As soon as it arrives in the US it goes to a shop where the windows are removed, disposed of and replaced with metal panels. With that modification it is now considered a truck. And with that workaround they save the 25% truck tariff.



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